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How BYO Co. Is Redefining Japanese Cuisine for a Global Audience

Interview - June 3, 2025

Discover how one of Japan’s leading restaurant groups is blending tradition with innovation to bring authentic washoku to international diners.

KOJI NAKANO, PRESIDENT OF B.Y.O. CO., LTD.
KOJI NAKANO | PRESIDENT OF B.Y.O. CO., LTD.

In recent years, there has been a significant push by Japanese leaders to promote and expand Japanese culture overseas, particularly through Japanese cuisine. These efforts have yielded impressive results. Washoku has been designated as a UNESCO Intangible Cultural Heritage, and Japanese food exports have reached a record-breaking JPY 1.5 trillion in 2024, marking eleven consecutive years of growth. Additionally, the number of Japanese restaurants abroad has surged from 55,000 to over 200,000 as of 2024. What do you believe is driving this global expansion of Japanese food culture?

First, we need to consider what defines authentic Japanese food. Some may believe that only Japanese people can provide an authentic experience, but I have seen the global landscape shifting. The rise in popularity of Japanese cuisine worldwide is partly due to the fact that non-Japanese chefs and restaurateurs have embraced and introduced it to new audiences. While some might question the authenticity of these establishments, the reality is that without their efforts, Japanese food would not have reached the level of global recognition it enjoys today.

We can think of the spread of Japanese food culture as a phase. In the past, access to genuine Japanese cuisine was limited, but today, social media has made authentic Japanese food more visible and accessible to people everywhere. This allows consumers to learn about the cultural and historical context behind Japanese cuisine, giving them a deeper appreciation of its authenticity.

Beyond food, Japanese pop culture—especially anime—has created a powerful synergy, strengthening global interest in Japan. This, combined with the weakening yen, has encouraged more inbound tourism, further fueling the demand for real Japanese dining experiences. Many people around the world are familiar with sushi, tempura, and ramen, but when they visit Japan, they discover that Japanese cuisine is far more diverse. They begin to understand that dining in Japan is not just about satisfying hunger, but also about the experience, hospitality, and cultural richness that comes with it.

While this growing popularity is a positive trend, the restaurant industry in Japan faces serious challenges. Many restaurants are closing, partly because the barrier to entry in Japan’s restaurant industry is very low. Many establishments are small, family-run businesses, and cities across Japanare filled with multi-story buildings packed with restaurants. However, in Japan, the turnover rate is high, with many restaurants opening and closing in short periods.

The COVID-19 pandemic was a major blow to the industry, and now, we are entering a critical phase where transformation is necessary. The way restaurants operate, market themselves, and engage with customers needs to evolve for businesses to survive and thrive in this new era.

 

In 2024, Japan welcomed a record-breaking 35 million visitors, and this number is expected to grow to 60 million by 2030. As a Japanese restaurant management brand, what do you see as the key challenges in handling this massive influx of tourists? How are you preparing to meet the increased demand while maintaining quality and service standards?

It’s not just the increase in inbound visitors that presents a challenge—the recovery from the pandemic has also forced businesses to quickly adapt to a sudden surge in demand after years of reduced tourism. One of the biggest barriers has been language, which remains a challenge not only in rural areas but also in major cities. Many visitors struggle with making reservations, placing orders, and navigating menus, and this will likely be a key challenge in achieving the target of 60 million visitors by 2030.

A realistic approach to overcoming the language barrier includes using English for signage and menus, as well as implementing QR code-based systems for reservations and orders via social media. However, the Japanese restaurant industry has been slow to adopt these changes, which means there is still a gap in making dining experiences more accessible for international visitors.

Another bottleneck is the unique dining style in Japan, which differs from typical Western meal structures. When we opened our Japanese restaurant in New York, EN, we had to brand it as a Japanese tapas restaurant because the Izakaya concept was unfamiliar at the time.

In Western dining culture, each person typically orders their own dish, and food is not meant to be shared. However, Izakaya-style dining involves a mix of food and beverages on the same table, where diners need to decide how to combine and share different dishes. While sushi and tempura restaurants often serve food as a set course, Izakaya dining requires more interaction and decision-making, which can still be a challenge for foreign visitors who are unfamiliar with this style of dining.

 

Post-COVID-19, we have seen a significant transformation in how customers order and consume food, particularly with the rise of takeout and e-commerce. Your company has already implemented e-commerce for some products and introduced takeout options in your restaurants. What is your strategy for expanding and optimizing takeout food and e-commerce? How do you see these digital and off-premise dining trends evolving for your business?

During the pandemic, when we were unable to open our physical stores, we turned to Uber Eats and other domestic delivery platforms, as well as introducing takeout options. Over time, this segment grew to become a significant part of our revenue.

Initially, we expected takeout and delivery demand to decline once the pandemic ended, assuming that customers were only ordering because they couldn’t visit restaurants. However, even after reopening our dining spaces, we found that takeout and delivery sales remained steady, proving that this was not just a temporary shift.

We also realized that the demographic for takeout and delivery is different from those who choose to dine in. As a result, every time we open a new store or outlet, we now ensure that takeout and delivery options are available, making them a permanent part of our business model.

 

There is a growing consumer demand for healthier and more sustainable food choices. People are increasingly interested in organic ingredients, and when it comes to sustainability, factors such as sourcing and packaging play a crucial role. How is your company incorporating sustainability and health-conscious food options in your restaurants? What steps are you taking to meet this demand while maintaining quality and authenticity?

Washoku is inherently healthy, so there is no need to shift toward healthier foods. Instead, we focus on guiding customers in selecting different food items to create a balanced meal that suits their individual preferences and needs.

Rather than imposing a specific dietary approach, we aim to make the selection process an engaging and enjoyable experience. By exploring our menu, customers can discover a variety of healthy choices, allowing them to tailor their meals in a way that aligns with their own health and wellness goals.

 

As you mentioned, washoku is inherently healthy, but it is also deeply connected to sustainability. From a chef’s perspective, could you share how washoku embraces sustainability, particularly in the upcycling of byproducts or unused ingredients into new dishes or flavorings? How does this approach contribute to minimizing waste while enhancing flavors and culinary creativity?

One key difference I’ve noticed between Japanese cuisine and food served overseas is the strong emphasis on seasonality in Japan. Washoku is all about capturing the freshest ingredients at any given moment, which sets it apart from other culinary traditions. However, this also makes exporting Japanese food more challenging, as many regions do not have such distinct seasonal differences or varying harvest cycles.

From a sustainability perspective, one of the most important factors is to embrace seasonality—ensuring that food is served at its peak freshness and ingredients are sourced at the right time of year. This is something we have always been deeply conscious of.

For example, with fish, the availability of certain species changes depending on the season and region. Being mindful of these natural cycles allows us to align with nature, avoid overfishing, and create a more sustainable approach to sourcing ingredients.

 

As you mentioned earlier, many small Japanese restaurants are struggling to survive in an increasingly competitive market, facing pressure from both global restaurant brands and large domestic chains. Many of these challenges stem from management inefficiencies, resource limitations, and rising costs. How is your company differentiating itself in this highly competitive environment? What strategies are you implementing to ensure long-term success and sustainability?

Japan is currently experiencing sudden inflation after decades of deflation, leading to a sharp increase in ingredient costs. However, for the restaurant industry, including ourselves, the biggest struggle is the labor shortage. Recruiting staff has become increasingly difficult, and in some cases, this is forcing restaurants to turn guests away due to a lack of personnel.

While raising prices could be a solution to offset higher wages and ingredient costs, this is not always feasible. Inbound visitors may be more willing to pay higher prices, but for local Japanese guests—who make up the majority of our customers—this could be less acceptable.

We recognize the need to experiment with new strategies and find solutions to this challenge. Adapting to labor shortages and rising costs while maintaining a high-quality dining experience will be critical to ensuring long-term success in this evolving market.

We differentiate ourselves by adapting our menu to the seasons, as local Japanese customers enjoy experiencing seasonal specialties throughout the year. This commitment to seasonality is a key aspect of our dining experience. For inbound tourists, we have strategically located restaurants in high-traffic tourist areas to attract visitors.

 

Could you share some of the strategies you are implementing to further increase the number of inbound guests at your restaurants? How are you positioning your brand to appeal to international customers while maintaining authenticity?

Our strategy for attracting inbound guests consists of three key elements. First, we ensure that we offer a familiar entry menu for international visitors. This includes well-known Japanese dishes such as sushi, even if presented in a slightly different format to better accommodate their preferences. Second, we provide our menu in English, making it easier for foreign guests to navigate and understand their options. Third, we focus on telling the story behind the food. Traceability is a crucial aspect of this—helping guests understand where their food comes from and the cultural significance behind it. Currently, very few players in Japan have achieved a traceability level that truly resonates with customers, and this is an area we are working to improve. While we are making strides in this direction, we recognize that we still need to get better at effectively communicating this information to our guests.



In 2006, you established a subsidiary in Taiwan to introduce washoku to international markets. You also opened a restaurant in New York, tailoring a specific Japanese dining experience for American customers. Looking ahead, where do you see the next opportunities for overseas expansion? Which markets are you considering for future growth, and what factors influence your decision?

Currently, our only directly operated overseas stores are in Taiwan. However, given the current global geopolitical climate, we are taking a strategic and measured approach to growth.

Since the end of the pandemic, our Taiwan businesses have performed exceptionally well, and we are now planning to open two more restaurants there to meet the growing demand for Japanese cuisine. We see strong potential in Taiwan and want to continue catering to this market's needs.

One critical factor in overseas success is operational capability. Many brands attempt to export their food and concept without considering the importance of how the operation is run. However, we believe that critical value lies in the execution. Over the past decade, we have worked on localizing operations, ensuring that local staff can provide Japanese-style service, which has been key to our success.

Additionally, we see new opportunities arising due to labor shortages in the hospitality industry. Many hotels have shifted their focus to room accommodations, scaling back their food and beverage services. This presents a unique opportunity for us, as we have strong expertise in food and beverage operations. We believe that leveraging our operational strengths will give us a competitive edge in future overseas expansions.

 

Will those two new restaurants in Taiwan be opened this year?

Yes, we will open them this year.

 

As a restaurant group with over 120 locations worldwide, the majority of which are in Japan, maintaining quality and consistency across all stores is essential. Many large restaurant chains rely on a central kitchen model to standardize their operations. Could you explain how your business operates to ensure that each location upholds the same level of quality? What systems or processes do you have in place to maintain consistency across your chain?

We want the open kitchen concept to be a defining part of our brand identity. Our goal is to showcase the cooking process, allowing the kitchen to serve as a stage where customers can see how their food is prepared.

At the same time, as we expand our number of locations, maintaining quality and consistency becomes crucial. To achieve this, we must systemize the backend operations while still preserving the fresh, made-in-front-of-you experience of the open kitchen.

Rather than preparing everything from scratch on-site, we ensure consistency by sourcing condiments and having some ingredients partially prepared by a partner kitchen or vendor. This allows us to streamline operations while maintaining high-quality standards, ensuring that every dish meets our expectations, no matter the location.

 

Do you employ the same strategy overseas as well?

When it comes to overseas, most of the cooking is done by our chefs in the restaurant.

 

You have developed multiple brands, all dedicated to delivering an authentic washoku experience. As you continue exploring overseas expansion, which of your brands do you believe has the highest potential for global success? What factors make it particularly well-suited for international markets?

I believe our Dashi Chazuke EN brand has the highest potential for global expansion. This concept focuses on dashi soup served over rice, making it the only brand in our portfolio that specializes in a single, iconic aspect of Japanese cuisine.

Dashi is a fundamental element of Japanese culinary tradition, yet it has never been fully appreciated on a global scale. That’s why we are aggressively expanding this brand both in Japan and overseas. We understand that educating the international market about the depth and richness of dashi will take time, but we see this as an important and worthwhile challenge.

Fortunately, global audiences are already familiar with onigiri and udon, which provides us with a strong entry point. By serving dashi chazuke alongside onigiri and udon, we can introduce customers to this essential flavor of Japanese cuisine while offering them a well-rounded, comforting dining experience.

I see great potential for Dashi Chazuke EN in the future, as it has the ability to bring an underappreciated element of Japanese food culture to a much wider audience.



The Culinary Institute of America (CIA), one of the world’s most prestigious culinary schools, invited us to present our Dashi Chazuke format, which was a great honor. The students prepared everything themselves, with the help of an interpreter, allowing them to gain hands-on experience with this traditional Japanese dish.

The fact that such a renowned institution recognized the potential of dashi reinforces our belief in its global appeal. Being invited to showcase dashi at the CIA highlights how the international culinary world is beginning to appreciate this essential element of Japanese cuisine, further encouraging our efforts to expand Dashi Chazuke EN abroad.

 

You mentioned that your restaurant in Taiwan operates as a direct management subsidiary, while in New York, you use an indirect management format through a partnership with a local company. How important are strategic partnerships in your approach to overseas expansion? What factors determine whether you choose direct management or a partnership model when entering new markets?

Our New York restaurant was initially not a formal partnership with a local company, but rather run by our founder’s sibling. In the beginning, we had to be directly involved on the ground, assisting with cooking and operations. It was a challenging process, and it took two years before we could step back and allow the local team to run it independently.

We have learned a lot from our thriving New York City restaurant over the course of nearly two decades. Looking ahead, our overseas expansion strategy will likely focus on forming partnerships with local companies or possibly establishing franchise models. These approaches will allow us to scale efficiently while ensuring that our brand and quality standards are maintained in new markets.

 

The way you operate your restaurants and the experience you provide to your customers are what differentiates your company. If you had to tell us in one sentence how you would like the customers to feel when they are dining in your restaurant, what would it be?

It is difficult to articulate in just one sentence, but we are always conscious of providing an authentic omotenashi experience from the moment a customer enters our restaurant. While systematization is important for expanding within Japan, our overseas businesses require a more tailored approach.

One of the key challenges in bringing washoku to international markets is that local kitchen staff may not be familiar with Japanese flavors. That is why we are investing significant time and effort into training our staff, ensuring they understand what the gold standard of Japanese cuisine is and can adjust flavors accordingly. This is a long and detailed process, but it is also one of the factors that differentiates us from other brands.

Beyond educating the world about Japanese cuisine, we also believe in educating ourselves. We are welcoming employees on specialized skills visas, with 150 non-Japanese staff currently working in our company. We train them to understand the essence of washoku, believing that transforming ourselves from within will allow us to spread our culinary philosophy globally. However, this must be done authentically, with a foundation defined by Japanese people first before it can be further elaborated upon.

Maintaining authenticity while embracing innovation is a delicate balance. When we launched our EN brand, the goal was to make Japanese cuisine more casual and accessible. While we kept the cooking methods traditional, we incorporated ingredients that appeal to younger generations. The same applies to Dashi Chazuke EN, where, despite following authentic preparation methods, we sometimes use non-traditional ingredients like chicken  by using it as a base for broth, to make it rich and full-bodied..

Not everyone initially embraced this more casual approach to washoku, but over time, it has gained widespread popularity and contributed to the emergence of Japanese fusion cuisine. This open-minded approach is essential for growth, but it requires a finely tuned balance between preserving tradition and embracing modern influences.

 

You became president of the company in 2021, and at some point in the future, your leadership will reach its final chapter. If we were to interview you again on the last day of your presidency, what goals or ambitions would you hope to have achieved by that time? What legacy would you like to leave behind for the company and the future of washoku?

Our company philosophy is to innovate Japanese cuisine while preserving and passing on traditional Japanese culture. During my presidency, my goal has been to broaden the global understanding of washoku, beyond just stereotypical dishes like sushi and udon. We want to challenge perceptions and show people that Japanese cuisine is far more diverse than they may realize.

Right now, we have a unique opportunity to do this, as tourism to Japan is booming, and many visitors are sharing their experiences online. I love seeing tourists discover the reality of Japanese food, often realizing that what they thought they knew—such as sushi—is quite different from what they experience in Japan. I would like our company to serve as a catalyst for that discovery, helping people develop a deeper, more authentic understanding of washoku.

While there are many Japanese restaurants around the world, I don’t believe that washoku has truly entered people’s homes yet. The export of Japanese ingredients and condiments is growing, but there is not yet a strong culture of cooking Japanese food regularly at home. I want to change that by making Japanese cuisine more accessible for home cooking.

To support this, we are currently publishing a book to help people learn how to cook authentic Japanese food. In the future, we hope to translate it into English, further expanding its reach. I envision our restaurants as the starting point for this journey—where people can experience the variety of Japanese cuisine firsthand, then feel inspired to recreate these flavors in their own kitchens.

By the time my presidency ends, I hope to have played a role in expanding the global appreciation of Japanese food, not just as a dining experience but as a cooking culture that people can enjoy at home, just as they do with Italian or French cuisine today.

 


For more information, please visit their website at: https://byo.co.jp/

To read more about B.Y.O. Inc, check out this article about them.

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